10 Value Investing Rules to Remember

Merril Lynch’s David Rosenberg predicted the recession in January of 2008, when the downturn was in its infancy and the Dow Jones was only down about 10%. Rosenberg gave credit for his great insight to Merril Lynch’s former investment analyst...

/ February 26, 2009

How to Create a Medium Risk Portfolio

This post focuses on a technique to attain medium risk in your portfolio with a value investing approach. “Medium risk” seems to be an elusive term, which was well illustrated in the bear market of 2008. In Nassim Taleb’s book he...

/ December 31, 2008

What is a Ponzi Scheme?

The Madoff scandal may have you asking: What exactly is a Ponzi scheme? The essence of a Ponzi scheme is better known today as a pyramid scheme. In 1920, a Boston investment broker named Charles Ponzi told investors that he could earn...

/ December 17, 2008
Bernie Madoff Ponzi Scheme

Madoff, “Hmm.. let’s report 36.2% gains “

“I really think very highly of him, people make mistakes,” wrote a Madoff confidant and NYSE broker. At a party over the weekend I met a nice girl from Boston University, and I forgot to ask for her number when...

/ December 16, 2008
Verizon Stock Dividend

Verizon – Stocks That Can Defend High Dividends

In October, Verizon Communications (VZ) raised their quarterly dividend 7% to $.46 a share from $.43 cents, with a dividend yield at today’s price now 5.67%. Verizon should be able to defend its dividend in the next 12 months. The...

/ December 11, 2008

Benjamin Graham on Market Behavior

In Security Analysis, Benjamin Graham emphasizes the importance of not only focusing on a firm’s potential and accounting statements, but to also pay great attention to the business cycle. Individual investors should research and create their own one year outlook...

/ December 2, 2008

Real Estate Outlook

After a year where we felt housing prices drop precipitously, the previous decade of strong real estate appreciation seems forgone. The credit crunch has drained the pool of home buyers to mostly families with impressive credit scores and the ability...

/ December 2, 2008
Timothy Geithner

Who is Timothy Geithner?

Is the 47 year old Timothy Geithner prepared for arguably Barack Obama’s most important appointment? The first decisions made by Mr. Geithner will clearly be crucial to the U.S.’s economic future, as Harvard economist Kenneth Rogoff emphasized, “the decisions that...

/ November 25, 2008